Decision science is not smoke and mirrors – it can be applied in a practical way if properly understood.

WHAT THE BOOK SAYS

The science behind why we buy can now mainly be explained.

Our autopilot (system 1, implicit) has a far greater bearing on purchasing decisions than many think. Behavioural economics has been saying this for some time. This is effortless, automatic, fast action.

The pilot (system 2, explicit) is the rational, apparently controlled process that is usually mentioned in research as a reason to buy – but this is often misleading since people can’t even explain it themselves.

ELEMENTS OF THE BOOK I PARTICULARLY LIKE

Purchasing involves a decision between reward (ownership) and pain (price): the brain offsets the two to create a ‘net value’. Price lists with no pound signs sell more because the monetary symbols trigger pain signals.

Triggering process endowment is important – people are more likely to purchase again with a loyalty card showing some stamps already filled in because they feel they are already underway.

We are victim to hyperbolic discounting: we will happily have £100 now rather than £120 some time later.